Wilmar posts 22.8% fall in Q1 net profit to US$265.6 million amid volatile commodity prices

[SINGAPORE] Wilmar reported a 22.8 per cent decrease in net profit to US$265.6 million for the first quarter ended Mar 31, from US$343.9 million in the corresponding year-ago period.

Revenue for the quarter grew 21.9 per cent to US$19.8 billion from US$16.2 billion in the year-ago period, it said in a bourse filing on Wednesday (Apr 29).

This was backed by higher sales volume across all its core business segments – increasing 22.3 per cent for food products and 11.7 per cent for feed and industrial products.

The company noted that the consolidation of Indian edible oil processor AWL Agri Business (AWL) since December 2025 contributed to the year-on-year growth in sales volumes.

Excluding AWL’s impact this quarter, overall volume would have risen 7.7 per cent to 24.8 million tonnes, while revenue would have grown 7.6 per cent to US$17.44 billion, said Wilmar.

Meanwhile, the group’s core net profit shed 23 per cent, declining to US$264.2 million in Q1 from US$343 million in the corresponding quarter a year ago.

Wilmar attributed this to a few reasons, including “temporary unrealised mark-to-market losses from (its) hedging activities caused by the Iran war”.

It said most of these losses are expected to reverse in the coming quarters when physical commodities underlying the hedged contracts are delivered.

Concurrently, the company saw weaker contributions from associates and joint ventures (JVs) across China, Europe and South-east Asia regions.

SEE ALSO

‘Double-edged sword’: Wilmar, Golden Agri may face margin squeeze from Iran war, but upstream players could gain

‘Iran conflict impact mixed’: Maybank Securities upgrades Wilmar to ‘buy’ on constructive outlook, despite headwinds

Wilmar sees limited impact from Middle East conflict, cites indirect cost pressures

Profits from its plantation and sugar milling segment were also lower, impacted by lower palm oil prices and production volume, as well as weaker sugar performance, noted the agribusiness giant.

However, these losses were partially offset by gains on disposal of JVs in China and higher volume of sales in the quarter.

Overall, the company said that volume growth in the quarter was “overshadowed” by high volatility in commodity prices amid the US-Iran war. “Looking ahead, operating conditions for the remainder of the year will continue to depend on the evolution of geopolitical tensions and development in global trade policies,” added Wilmar.

Shares of Wilmar closed up 1.3 per cent or S$0.05 at S$3.83 on Wednesday before the results.